Decree of the Chairman of the People's Republic of China
No. 63

"Enterprise Income Tax Law of the People's Republic of China" has been approved on the 5th meeting of 10th NPC on March 16, 2007. It is now promulgated and shall come into effect as of January 1, 2008.

Hu Jintao, Chairman of the People's Republic of China
March 16, 2007

Enterprise Income Tax Law of the People's Republic of China

(Approved on the 5th meeting of 10th NPC on March 16, 2007)

Contents

Chapter 1: General Provisions

Chapter 2: Taxable Amount of Income

Chapter 3: Tax Payable

Chapter 4: Tax Preference

Chapter 5: Withholding at Source

Chapter 6: Adjustment of Special Taxes

Chapter 7: Management of Taxation

Chapter 8: Miscellaneous Provisions

Chapter 1: General Provisions

Article 1: Income tax shall be paid in accordance with the provisions of this Law by enterprises and other organizations (hereafter referred to as “enterprises”) within the territory of the People's Republic of China on their incomes.
This Law is not applicable to individual proprietorship or partnership enterprises.

Chapter 2: Enterprises are divided into resident enterprises and non-resident enterprises.
Resident enterprises as mentioned here refer to enterprises established within the territory of the People's Republic of China, or those established according to foreign (regional) laws with effective management office residing within the territory of China.
Non-resident enterprises as mentioned here refer to enterprises established according to foreign (regional) laws with the effective management office residing outside China but with branch offices in China, or those without branch offices in China and but being originated from enterprises established within the territory of China.